Microstrategy bought $209M in Bitcoin in Q1 2023; repaid Bitcoin-backed loan to Silvergate

Microstrategy continued to put successful Bitcoin implicit the erstwhile quarter, arsenic indicated by the company’s fiscal results connected May 1.

Phong Le, MicroStrategy President and CEO, said

“The condemnation successful our bitcoin strategy remains beardown arsenic the integer plus situation continues to mature.”

Microstrategy said that, successful the archetypal 4th of 2023, it purchased 7,500 BTC to adhd to its equilibrium sheet. That magnitude is worthy $209 cardinal astatine existent marketplace rates.

This acquisition accrued Microstrategy’s full Bitcoin holdings to 140,000 BTC. Though the existent marketplace worth of that full is $3.9 billion, Microstrategy noted that the amount’s carrying worth is $2.0 cardinal owed to cumulative impairment losses.

Microstrategy enforcement president Michael Saylor besides highlighted connected Twitter that his company’s Bitcoin strategy has outperformed stocks, indices, and adjacent Bitcoin itself.

Microstrategy besides said that it paid $161 cardinal to Silvergate Bank to afloat and voluntarily repay a $205 cardinal Bitcoin-backed loan. As a result, Silvergate released 34,619 BTC worthy of collateral to Microstrategy. Silvergate Bank collapsed successful March, and Microstrategy said astatine that clip that it had no different exposure to the slope isolated from that loan.

Outside of Bitcoin, Microstrategy said that its full gross for Q1 2023 was $121.9 million, representing a 2.2% summation from Q1 2022. The company’s nett income for Q1 2023 was $461.2 million, oregon $31.79 per share, up from a nonaccomplishment of $130.8 cardinal successful Q1 2022.

Microstrategy banal (MSTR) is down 6.37% contiguous and up 1.80% aft hours.

The station Microstrategy bought $209M successful Bitcoin successful Q1 2023; repaid Bitcoin-backed indebtedness to Silvergate appeared archetypal connected CryptoSlate.